Question : Rules on Cancellation Fees charged by Airlines

(a) whether the Government has strict rules regarding the cancellation fees to be levied by all airlines, if so, the details thereof;

(b) whether Air India is charging high cancellation fees for all domestic air tickets, if so, the details thereof and the reasons
therefor;

(c) the reasons for Directorate General of Civil Aviation to fix such a high ceiling for cancellation fees;

(d) whether airlines have formed a cartel to charge high cancellation and
high ticket prices, if so, the details thereof;and

(e) the steps proposed to be taken to enquire into cartelization of airlines in the country?

The Minister of State in the Ministry of CIVIL AVIATION
(Shri Jayant Sinha)

(a) to (c): Under the provision 3 (h) of Civil Aviation Requirements (CAR), Section -3, Series M, Part-II titled Refund of Airline Tickets to Passengers of Public Transport Undertakings, under no circumstances, the airline shall levy cancellation charge more than the basic fare plus fuel surcharge. Examination of cancellation charges of Air India and other scheduled domestic airlines reveals that cancellation charge of Air India is in line with the other scheduled domestic airlines.;

(d) & (e): Scheduled domestic airlines are compliant to the provision of the CAR, which has been displayed on their websites.